June 24, 2021

Risky Business

Risky Business

Plain bad faith

The owner of a hotel filed suit recently against his insurer related to  wrongful and bad faith denial of insurance coverage arising out the physical damage to and prolonged closure of restaurant resulting from the events of civil unrest. The hotel was forced to close for a long period due to...


Icy conundrum

An insured’s home was damaged by trees in an ice storm. He learned shortly after that the insurance would not cover the damage. Being an insurance agent, himself, he tried his best to figure out a solution to untangle the mess between the mortgage and insurance company. For some reason...


Blurred lines

A woman was driving home when another car zoomed towards her and totaled her car. The other driver claimed responsibility and they exchanged insurance information. However, the other driver’s insurance company said they would not pay for the damages because he was driving for a popular food delivery service at...


The time factor

A man was stung by a bee and being highly allergic, rushed himself to the hospital. A month later, he received a bill from the hospital as the insurer would not pay for the visit. It turns out, the insurance company said his bill showed he went to a clinic...


On fire

A man took his father’s car and drove it on a dune in a desert. While driving the vehicle caught fire accidentally, he claimed. Further investigations found the man guilty of setting the car on fire for the insurance payout. He was later arrested and taken into custody. It turns...


Into-pocket expense

Two insurance agents went rogue after they collected premiums from business owners and then pocketed the money for their personal use. After complaints were received from policyholders, the insurance company decided to look into the case. Upon investigating they found that premiums were never sent to the insurer and the policyholders...


Half a roof

A sportswear storeowner found a part of the store roof missing when he opened for the day. Strong winds decided to take a part of the roof and many other things in the same city. Fortunately, the owner had insured the store and the insurance company is investigating.


A leisurely claim

A non-profit organisation was impacted by a hurricane when its building was damaged and waterlogged for weeks. The insurance company covering the organisation’s building decided to keep quiet for more than 30 days in spite of a loss adjustor’s report of proof of loss. The organisation stakeholders in turn, decided...


A cream worth millions

A businessman decided to double his earnings by indulging in a little insurance fraud. He arranged for hospital networks to reimburse claims for expensive, specially formulated pain cream. This scheme went on until a healthcare provider had to cut back its offerings and request more funding from the government. Sadly,...


Hard-hitting tree

A couple who lived in their house for the last 30 years thought they were covered for all kinds of losses when they took their homeowners insurance. Unfortunately their most valuable asset was hit by a sudden windstorm and three large trees landed on the house. The couple contacted the...

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